Re: Site Finances and NYS question
From: Sharon Villines (sharonsharonvillines.com)
Date: Sun, 15 Oct 2006 13:00:53 -0700 (PDT)

On Oct 15, 2006, at 8:43 AM, Sharilyn Rediess wrote:

First, can someone tell me whether the purchase of land is ultimately rolled
into the unit cost, or is that a separate upfront cost that is never
reflected in the mortgages residents take out for their units.

There are all sorts of scenarios but yes, the land should be included in the cost of the units. Sometimes the land is acquired by a subgroup before the project is actually built but eventually they have to be paid back out of the mortgages of the new folks.

ALSO remember that the budget for the project should also include marketing and project management costs. All those things go into the cost of building the project and putting them in from the start allows people to pay for them with mortgage money and not savings (which may be non-existent).

At Takoma Village, the land, the marketing, the project manager, the units, the commonhouse, AND the commonhouse furnishings were all included in the cost of our units so they were all included in our mortgages. This meant we theoretically moved into a fully completed and furnished buildings. In fact, over half of us moved into a construction site and it took a awhile to really sort things out but the money was there to do it. We had tables and chairs and pots and pans from the start.

Second, I am wondering why there are so few cohousing groups in NY state and wonder if there are regulatory issues in NY that make it more difficult.

In New York City, there definitely are. But Upstate, there is a group forming near Kingston in Rosendale. A group tried to start in Troy and another south of Hudson.

Personally, after living for years in New York City and state, when there is an embarrassment of riches, it is hard to get new projects like cohousing going. people already have so many choices that they don't have the pressures that people in other states do. Cohousing just isn't the only game in town.

But as soon as one gets up, more will follow I'm sure.



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